This 2003 Annual Report on Exchange Arrangements and Exchange Restrictions provides a detailed description of the exchange arrangements and exchange/trade restrictions of individual IMF member countries and Hong Kong Special Administrative Region, as well as Aruba and the Netherlands Antilles. The report highlights that Bangladesh Bank announces a buying-selling rate band for the U.S. dollar against the taka for its transactions with authorized dealer banks. Trends of the real effective exchange rate of the taka against a trade-weighted basket of currencies of major trade partners are analyzed to monitor the external competitiveness of the exchange rate.

Letter of Transmittal to Members and Governors of the Fund

August 29, 2003

Dear Sir or Madam:

I have the honor of transmitting to you a copy of the International Monetary Fund’s Annual Report on Exchange Arrangements and Exchange Restrictions, 2003, which has been prepared in accordance with the provisions of Article XIV, Section 3 of the Articles of Agreement.

On behalf of the Executive Board, I would like to express our appreciation to the countries for their cooperation in the preparation of the Report.

Note: The term “country,” as used in this publication, does not in all cases refer to a territorial entity that is a state as understood by international law and practice; the term also covers some territorial entities that are not states but for which statistical data are maintained and provided internationally on a separate and independent basis.

Preface

The Annual Report on Exchange Arrangements and Exchange Restrictions has been published by the IMF since 1950. It draws on information available to the IMF from a number of sources, including that provided in the course of official staff visits to member countries, and has been prepared in close consultation with national authorities. The information is presented in a tabular format.

This project was coordinated in the Monetary and Financial Systems Department by a staff team directed by Shogo Ishii and comprising Kyung-Mo Huh, Virgilio A. Sandoval, Jahanara Zaman, Harald Anderson, and Malinee Ramiscal. It draws on the specialized contribution of that department (for specific countries), with assistance from staff members of the IMF’s six area departments, together with staff of other departments. The report was edited by Gail Berre, Helen Chin, and Esha Ray of the External Relations Department and was produced by Mrs. Ramiscal and the IMF Multimedia Services Division.

Central African Economic and Monetary Community (integrated by the members of the BEAC)

CAP

Common agricultural policy (of the EU)

CARICOM

Caribbean Community and Common Market (integrated by Antigua and Barbuda, Barbados, Belize, Dominica, Grenada, Guyana, Haiti, Jamaica, Montserrat, St. Kitts and Nevis, St. Lucia, St. Vincent and the Grenadines, Suriname, and Trinidad and Tobago). The Bahamas is also a member of CARICOM, but it does not participate in the Common Market.